Watsco Graham Number from 2010 to 2026
| WSO Stock | USD 417.92 2.85 0.69% |
Graham Number | First Reported 2010-12-31 | Previous Quarter 135.86 | Current Value 142.65 | Quarterly Volatility 45.9297528 |
Check Watsco financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Watsco's main balance sheet or income statement drivers, such as Depreciation And Amortization of 49.3 M, Total Revenue of 9.2 B or Gross Profit of 2.5 B, as well as many indicators such as Price To Sales Ratio of 2.2, Dividend Yield of 0.0202 or PTB Ratio of 6.32. Watsco financial statements analysis is a perfect complement when working with Watsco Valuation or Volatility modules.
Watsco | Graham Number | Build AI portfolio with Watsco Stock |
Evaluating Watsco's Graham Number across multiple reporting periods reveals the company's ability to sustain growth and manage resources effectively. This longitudinal analysis highlights inflection points, cyclical patterns, and structural changes that short-term snapshots might miss, offering deeper insight into Watsco Inc's fundamental strength.
Latest Watsco's Graham Number Growth Pattern
Below is the plot of the Graham Number of Watsco Inc over the last few years. It is Watsco's Graham Number historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in Watsco's overall financial position and show how it may be relating to other accounts over time.
| Graham Number | 10 Years Trend |
|
Graham Number |
| Timeline |
Watsco Graham Number Regression Statistics
| Arithmetic Mean | 83.36 | |
| Geometric Mean | 63.98 | |
| Coefficient Of Variation | 55.10 | |
| Mean Deviation | 38.60 | |
| Median | 72.45 | |
| Standard Deviation | 45.93 | |
| Sample Variance | 2,110 | |
| Range | 149 | |
| R-Value | 0.97 | |
| Mean Square Error | 154.19 | |
| R-Squared | 0.93 | |
| Slope | 8.78 | |
| Total Sum of Squares | 33,753 |
Watsco Graham Number History
About Watsco Financial Statements
Watsco investors utilize fundamental indicators, such as Graham Number, to predict how Watsco Stock might perform in the future. Analyzing these trends over time helps investors make informed market timing decisions. For further insights, please visit our fundamental analysis page.
| Last Reported | Projected for Next Year | ||
| Graham Number | 135.86 | 142.65 |
Pair Trading with Watsco
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Watsco position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Watsco will appreciate offsetting losses from the drop in the long position's value.Moving together with Watsco Stock
| 0.82 | AL | Air Lease | PairCorr |
| 0.68 | DNOW | Now Inc | PairCorr |
| 0.65 | DSGR | Distribution Solutions | PairCorr |
| 0.88 | RXL | Rexel SA | PairCorr |
Moving against Watsco Stock
| 0.83 | MSI | Multistack International Earnings Call This Week | PairCorr |
| 0.45 | CAI | Caris Life Sciences Sell-off Trend | PairCorr |
| 0.42 | 61F | ELEMENT FLEET MGMT | PairCorr |
| 0.33 | FPR | Fleetpartners Group | PairCorr |
The ability to find closely correlated positions to Watsco could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Watsco when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Watsco - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Watsco Inc to buy it.
The correlation of Watsco is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Watsco moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Watsco Inc moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Watsco can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out the analysis of Watsco Correlation against competitors. You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Will Trading Companies & Distributors sector continue expanding? Could Watsco diversify its offerings? Factors like these will boost the valuation of Watsco. Anticipated expansion of Watsco directly elevates investor willingness to pay premium valuations. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Watsco data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth (0.06) | Dividend Share 11.4 | Earnings Share 12.87 | Revenue Per Share | Quarterly Revenue Growth (0.04) |
Investors evaluate Watsco Inc using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Watsco's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Watsco's market price to deviate significantly from intrinsic value.
Please note, there is a significant difference between Watsco's value and its price as these two are different measures arrived at by different means. Investors typically determine if Watsco is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. Conversely, Watsco's market price signifies the transaction level at which participants voluntarily complete trades.